ECB Lowers Its Key Rate

The European Central Bank cut its main interest rate to a new low of 0.50% in an attempt to drag the euro zone out of the longest recession in its history.

This transcript has been automatically generated and may not be 100% accurate.

I ... the ... as ... the state's extended and ... he's refinancing operations usage use ... the debt crisis ... stalled Forelle is with the ... salt ... the ECB president's defended these moves ... but that seems to be a feeling that the bank has been a little complacent ... I mean there is a sense that what they accomplish what they did today it was really kind of the minimum that they could do ... that the rate had been kind of read by seven basis points ... aam were not an environment where what's the constraining banks from lending to people is the cost of RM Company CPU is Ardi very well the problem ... in large part in the stress countries on supply side people ... the stars in the demand side so will fix the supply side reeling knocked into a lot but was telling was that it was not unanimous decision appears ... to even go that far was to be a lot of that haven't resistance to say he's facing internal ... assisting those that because you look the other ... Japanese what that that gives it that brought up the pay isn't this was all the problems ... we see but the house into something Apple ... ice in another demonstration of how difficult it is the duty of seventeen people were trying to sort stuff that needed to we know that vide one of the of the Bundesbank has been opposed to ... ounce of retreats and he's he does not think it's a great idea we suspect that he's probably ... out one of the people on the ... onthe other side of this of this desire to size so you know it's it's it's tough ... ok ... tells the key thing ever the goal is to try to get ... banks to lend more to smaller companies use of households and get the economy moving it what what that that they ... Paul did not really a mean the problem is specifically that running it thanks to lend to small medium size companies intact even larger Cubbies in the real ... I'm in countries where there is severe stress and run he noted he's trying to relive a nice shine and the seats in the ... dispersion in lending rates and stop dispersing set up a meeting in Germany's here in Spain is here I'm that has slowed down but there's still a huge gap between what the individuals and businesses in Spain favors is what they pay ... in Germany and there's nothing has really been able to fix that ... affix the gap in new and cutting the rate that banks can borrow from the ECB is not honest million and a lot ... of it ... the problem says the fact that you're you're having this discussion within the core noncore eurozone countries ... but the same time a whole lot of them are actually starting to head down hill in the same as in really bad because what would encourage small businesses are medium size businesses in Spain to borrow and invest in a new factory in hire new workers is a sign of the economy was was turning up into the economy turns and becomes less likely ... that they wanna do that that they're going even if there were cheap money available that they're going to take the risk ... I intend to start a new business or declining economic environment is the stuff stock gets too says well they ... will be having its recovery the graduates ... that is is coming eventually ... is going up ... unity your missus was mined in all the dictators are that it's not coming anytime soon so ... that I be in there a lot of people who hope to Father John he might have something else up its sleeve ... I'm to try to to to get things going for monetary policy side ... we use it ... okay ... the Euronext ... markets Dec zero euro fell I mean we saw the euro rising in many fell after ... trying he ... said that he was of an open mind that negative deposit rates aam and that is ... something that would push ... the AEO push people out of the euro ... was productive ... well I mean in in in in theory it we encourage banks to sue minded went out ... on to encourage the sensei ... brought in to just leave the park and the CDC date I'm so that in theory will work with a lot of Proms lending and deposit made ... and ... it's not clear that in essence is that so that that's a lot about see this ... as ... silly silly negative for the euro ... bought ... one signal that that was a ... I was a possibility ... Saul second ...